Markets fearful as Ukraine situation escalates

EUR/USD seems to have steadied around 1.1300 after flirting with a fresh weekly low of 1.1288 early Tuesday. Investors remain cautious while awaiting headlines surrounding the Russia-Ukraine conflict. The economic docket will feature the German IFO sentiment survey and US PMI data.

GBP/USD is struggling to gain traction after closing flat on Monday and trades around 1.3600 early Tuesday. The risk-averse market environment amid heightened geopolitical tensions is helping the greenback preserve its strength ahead of US Markit PMI data.

EUR/GBP has been depreciating quite steadily as tensions in Ukraine have flared up. Economists at ING expect the pair to slide below the 0.8300 level today.